tv Bloomberg Real Yield Bloomberg April 6, 2018 12:30pm-1:00pm EDT
gains, while the s&p 500, every sector in the index's and the right right now at session lows, 1.4% down. the nasdaq is moving 1.3%, and the sentiment is translated in the treasury markets, treasury is rising, the 10 year yield falling at 2.78, and also reversing three sessions of gains. also the dollar index down 3/10 of 1%, while the chinese ,ffshore yuan has been weekend 1% asse of 1% -- 3/10 of trade tensions mount. david: mark crumpton is here with first world news. mark: there are more signs the three nafta nations find common ground. u.s. trade representative robert like hauser meets in washington
today with his counterparts in mexico and canada. has setp administration us off in the men's on alto production but is still seeking other concessions. former catalan leader walked out with prison today after posting a $92,000 bail. he called on spanish authorities to immediately release all colleagues being held in spanish prisons. his attorney in brussels i could that sentiment. it is not permitted in the european union. stop using foreign courts for their own political agenda. mark: he was the tainted by police in northern germany last month after crossing the border from denmark. is seeking extradition.
a visit that many see as an effort to ease strained relations between two neighbors -- this statement issued at the afghan palace says the two sides discussed counterterrorism, peace talks, and border violations. pakistan has been under pressure to stop offering safe havens for militants, a charge that islamabad denies. people were killed when violence broke out at the rebel held town in damascus. it is a collapse of the truce and evacuation deal for opposition fighters to leave the town. global news, 24 hours a day, powered by more than 2,700 journalists and analysts in more than 120 countries. i am mark crumpton. this is bloomberg. sheryl sandberg embarq on
an apology tour of her own after facebook up their original estimate affected by the cambridge analytica breach to 87 million people. the ceo acknowledged the company fell short in an interview with bloomberg yesterday. >> we know we did not do a good enough job of protecting people's data. i am really sorry for that and mark is really sorry for that. now that we are doing is taking strong actions. shery: what could that action look like and should they expect new regulations? welcome jamil jaffir, founding of the national security institute at george mason law. thank you for your time. we have seen the ftc get involved, and we have mark zuckerberg question by lawmakers next week. position toe best try to regulate or impose new
rules on facebook? ftc and commerce want to get involved here. the challenge is that with high technology, regulations and laws are sticky. what to make sure what you are doing is technology neutral. there's a lot of resistive think the market. this problem. facebook's stock prices is taking a tumble. see sheryl sandberg and mark zuckerberg say they will try to fix the issue. i think you will see a very contrite and straightforward mark zuckerberg before congress. shery: what is the risk for him as he faces lawmakers? jamil: the biggest risk. is pushing back. he is a strong personality. they are adding a lot of innovation to the world. at the same time he is admitting that there was a problem here. they did not understand the scope of the data available and how it might be utilized.
a business perspective alone, it is important for mark to acknowledge, and he will do that next week. differentw we take a attack in the sense -- why is it for facebook to protect our data? this was not a hack, this was shared by facebook. regulation have it easily available, and who our data is shared with, and how we could exclude that? great point,s a and facebook is taking action to update their privacy and show people what they are doing on the platform. what applications are being utilized. they are trying to make a move to avoid regulation. my concern with regulation -- as harmology evolves it will innovation -- if you put in place rules and regulations. i think there is a middle ground
where industry and government work together to find a path forward. it looks like facebook is trying to make efforts here. but that could be one area the government to get involved, and he will required to disclose information to customers so they know what is going on. david: in other parts of the government we have disclosure be the principal means for regulation, suggest securities laws. that is irrespective of changes in technology. if that happened, with that undermine facebook's business model? jamil: it could, by disclosing what people are doing, you might want to change user data. day,lly, at the end of the more information for consumers and more consumers knowing what information is used for is better for the industry, and better for consumers, so everybody wins. the question is should be through regulation or done on its own, i am all about cooperation in this space.
the government is not good at cyber security. technology is done very well in unregulated fashion to the extent we can't allow that flourishing to continue. i think we should do that. shery: it has already hit other andanies, data brokers clouds, could we in fact see facebook actually gain more power over the digital advertising market? jamil: i think that is obviously a concern. there's concern about a handful of companies having data. consumers are concerned about -- way their data is used these platforms are sticky, but they are not the end of the world and there are competitors. at the end of the date this is about consumer choice, if they want to allow their data to gmail or google or facebook. out, but how it plays there's an opportunity for consumers in the industry to
markets: balance of power". david: president trump has said repeatedly now wants to pull u.s. troops out of syria very soon. those around him, and his own spokesperson says will keep at least some of the soldiers there for some time to come. so which is it and what difference could it make? welcome edward djerejian, who served as ambassador to syria. at the bakerector institute for public policy and comes to us from houston. great to have you with us. edward: good to be here with you. david: if he pulls troops out right now -- what turns on that, what difference does it make? edward: i think you have noticed there is a tug and the administration as to what we should do.
the president made it clear during his campaign that he would want to withdraw troops afghanistan,raq, and he was totally against nationbuilding and getting bogged down in these countries. that tendency on this part has not gone away. at the same time, his national security group, especially the military at the pentagon -- are arguing that the job is not done. even president trump has said 90% of isis has been defeated in syria. but there is that 10%. according to the press, about 3000 isis personnel that are east of syria in the the euphrates river going towards the iraqi border. the job is not completely done. that is one factor. the other important
consideration debating within the administration -- at the end of the day it is the president who decides. should the united states withdraw approximately 2000 troops -- a lot of special operations forces, from syria, before really trying to stabilize the situation in that part of syria where our troops are. and to remain there as a political lever to use in any ongoing negotiations that will involve the other key actors in syria. turkey.ussia, iran, and that is the framework. david: you served as ambassador to israel and syria, explain what is going on with the balance of power in that difficult part of the world in the middle east. entirely, what
could that due to the balance of power? edward: it is a complicated situation. russia's interest is what you said, to maintain their access to ports. they other military facilities to sustain and a military relationship and arms sales to syria. they have influence in what will happen in syria, and they staunchly defend the regime. the iranians, are active in the rgc, and they have been instrumental in the survival of the assad regime because the iranians see this regime as an access point to their influence, from terror on baghdad through damascus -- from
tehran. ss of influence that the iranians are tactically and strategically putting in place. they have a real stake. and you have turkey, who is concerned about the kurdish elements south of its border in syria. they have a major stake in the situation. and of course the israelis are watching all of this very nearully because, it is the borders. shery: and sanctions on russian companies, so how big of an impact will be set on these firms, and also to russia itself with all of these sanctions on different oligarchs? edward: you see the momentum of increasing sanctions against russia. the sanctions are more focused
on some of the oligarchs. think there are seven oligarchs, a number of political officials in the russian government, and some companies. if you could call them -- they are smarter and focused sanctions targeted on individual companies and government officials. these sanctions can hurt because, as you know, putin's regime is largely based on elitist structure of oligarchs run a large part of the economy, especially the commodities. it is interesting that they have targeted some energy companies and officials. -- they aresting getting close to some of the top people around putin. shery: that they are not directly targeting president
vladimir putin, which was one of the questions president trump was asked when sanctions were announced. that presidentt trump will be able to keep friendly relationship with president putin will also conducting business as usual when it comes to sanctions and other actions against russia? edward: that is interesting because we talked about syria and what our military wants to to hold in syria for it while until the job is finally done, whatever that means. president trump is saying no, we have got to get out. in russia when you have is the secretary of treasury and administration increasing their sanctions and measures against russia, and at the same time president trump is saying i am inviting putin for a meeting in washington, because he attaches a great deal of importance to opening up a dialogue between him and putin. so you have this duality of
approach in this administration facing not only in russia and syria, but also elsewhere. shery: ambassador, thank you very much for your time. with taylornow riggs on the market. -- wet exciting losses are seeing accelerated losses. >> no safe way to hide -- the small caps are off, and really coming from tariffs. the fed is not raising rates faster as projected, so it is all coming down. and if we flip up thethe fed iss board, the s&p on a five day chart, we erased gains for this week and we're off 3/10 of 1%. can still see we have raised all gains from yesterday. we are unchanged now for the week. when we talk about trade we look
at some individual movers, and some of those are caterpillar trading lower today. a majority of tariffs are still hitting agricultural sectors, abc those names in the mining and agriculture business selloff. --apid off, gtv about the volatility you can count on two dozen times where the snp has moved in either direction more than 1%. that compares a handful of times we saw that for all of us, so volatility again remains the theme as we are near the lows of the session. david: this is bloomberg. ♪
>> there are always ongoing discussions with the chinese. i traveled the president trump all day yesterday and he indicated to me for the on teeth time that he has great respect for president chi, and president xi has great respect for president trump. president trump regards president xi as he counted negotiator, if and when negotiations begin. they haven't begun yet. china's response to our complaints has been unsatisfactory. -- iis why we are looking use the word looking, we haven't proposed anything. a secondconsidering round of tariff action, but it has not come to pass and there's no execution of this. it is just consideration and it is up to the u.s. -- and therefore the conversations go on as they always do. i,e president speaks to x
and perhaps, there will be fruitful negotiations. they have been, unsatisfactory. we will see. jonathan: when will negotiations actually begin? >> no timetable. jonathan: because there is 60 days. >> i encourage everybody to read carefully, the president's announcement yesterday, and the white house press release, and also ambassador like hauser's ambassador like hauser's press release. we are considering adding tariff pressures, i don't even want to call it a negotiating point, there may be negotiations and that couple of months, i hope so, i think everybody up so because to your point at the beginning, i don't want to disrupt the economy and the president doesn't want to disrupt the economy.
the point here is, we are going to have several months of open discussion. people will submit comments, it will be reviewed by the ustr and isewhere, in at that point, don't want to put a deadline on it. the administration will then make a decision with some respect to whether these proposed tariffs will be put in place. that can and will be conversations during this whole period of several months. be discussions along the way. i want tost with you, use the phrase ambassador like eighthouzer used with me. it is moderate and proportional, this is not a trade war.
there is no war here. all we are trying to do is say and defend american technology, which is crucial to american economic growth. and global economic growth. this whole program, whether it is tax rate reduction or rollback of regulatory costs or rollback of energy problems, and now trade. this is all designed to promote faster economic growth in the united states. we are out ofy, time, but i want to fit a few more questions and. what can the chinese do to satisfy concerns of the president over the next several months? what can they do tomorrow to make this go away? larry: i think there will be a discussion. i want to tread lightly here because i don't want to get ahead of the game. bob like hauser and the
president are thinking of submitting a list of suggestions to the chinese. i want to underscore i think, but that is a possibility. hopefully the chinese will respond with some ideas that will solve this technology
transfer. director of kudlow, the economic council earlier on bloomberg tv. shery: and a special programming ine, jay powell speaking half an hour and will bring you the remarks live. this is bloomberg. ♪
jonathan: from new york city i'm jonathan ferro, and this is bloomberg "real yield". ♪ jonathan: coming up, payrolls the very a big mess, the job report. , andresident fighting back the administration considering tariffs on another 100 million dollars of chinese goods. and stock credit looks fairly resilient. we begin with the big issue, the payrolls report. >>